Latest news with #MMSI
Yahoo
21-05-2025
- Business
- Yahoo
MMSI Stock Gains Following Latest Merger to Boost Hemostasis Portfolio
Merit Medical Systems, Inc. MMSI, yesterday, announced its acquisition of Biolife Delaware, L.L.C. (Biolife) in a merger transaction. Through the deal, Biolife (which manufactures unique, patented hemostatic devices under the brand names StatSeal and WoundSeal) has become a wholly owned subsidiary of MMSI. Merit Medical expects that the acquisition will position it to provide clinicians with more products designed to standardize, simplify and minimize post-procedure care and maintenance. The company has also revised its full-year 2025 financial guidance to include the projected impact from this acquisition. With the latest merger transaction, MMSI aims to boost its hemostasis product portfolio under the broader Cardiac Intervention ('CI') business of the Cardiovascular segment and promote enhanced patient care. Following the announcement, shares of the company gained nearly 0.7% till the last trading. Historically, MMSI has gained a high level of synergies from its acquisitions. We expect market sentiment on the stock to remain positive around this announcement, too. Merit Medical currently has a market capitalization of $5.81 billion. It has a return on equity of 15.5%, better than the industry's 14.3%. In the last reported quarter, MMSI delivered an earnings surprise of 14.7%. Per Merit Medical, its products operate through small openings on the skin that require efficient solutions to stop bleeding, help patients recover and minimize costly complications. In such cases, StatSeal specifically works with the patient's blood to rapidly form a protective seal over the procedure site. Adding StatSeal to its hemostasis portfolio is intended to provide healthcare partners with an additional effective solution that complements a wide range of percutaneous procedures, including interventional radiology and cardiology, among others. Per management, BioLife's StatSeal and WoundSeal products, which address an estimated $350 million global market opportunity and are clinically validated, are expected to enhance its ability to deliver comprehensive solutions to customers. Merit Medical has revised its full-year 2025 financial guidance to include the projected impact of the acquisition from the merger effective date of May 20, 2025 to Dec. 31, 2025. It has also reaffirmed its updated full-year 2025 financial guidance previously issued on April 24, 2025. Management expects to provide further details about the transaction in the second quarter of 2025 earnings report on July 30, 2025. Per MMSI, the acquired assets are expected to contribute revenues in the range of $10-$11 million, primarily to the Cardiovascular segment, from the merger's effective date of May 20, 2025 through Dec. 31, 2025. Management also projects the acquired assets to be dilutive to its full-year 2025 GAAP net income and GAAP earnings per share (EPS). The acquisition is projected to be accretive to the adjusted gross and operating margins in 2025 and slightly accretive to adjusted net income and EPS in 2026. The acquisition is projected to be dilutive to Merit Medical's GAAP net income and GAAP EPS in the first full-year post close and accretive thereafter. Including the impact of the acquisition, Merit Medical now expects its net revenues for 2025 to be between $1.480 billion and $1.501 billion (reflecting an increase of 9.1-10.7% on a reported basis over the comparable reported figures of 2024), up from the previous outlook of $1.470 billion and $1.490 billion (reflecting an increase of 8.4-9.8% on a reported basis over the comparable reported figures of 2024). The Zacks Consensus Estimate is pegged at $1.48 billion. Net revenues from the Cardiovascular segment are now expected to be in the range of $1.407 billion-$1.426 billion (representing an increase of 8-10% over the comparable reported figures of 2024), up from the previous outlook of $1.397 billion-$1.415 billion (representing an increase of 7-9% over the comparable reported figures of 2024). The Endoscopy segment's net revenues are continued to be projected between $73 million and $75 million (representing an increase of 34-37% over the comparable reported figures of 2024). Adjusted EPS for 2025 is now projected to be in the range of $3.28-$3.41 (representing a decrease of 5-1% over the comparable reported figures of 2024), down from the prior outlook of $3.29-$3.42 (representing a decrease of 5-1% over the comparable reported figures of 2024). The Zacks Consensus Estimate is pegged at $3.35. Per a report by Grand View Research, the global hemostasis and tissue sealing agents market was estimated at $8.67 billion in 2024 and is projected to expand at a CAGR of 9% between 2025 and 2030. Factors like increased demand supported by rising surgery volumes and growing demand for critical care among the elderly population due to their vulnerability to slow-healing injuries and wounds are likely to drive the market. Given the market potential, the latest acquisition is expected to provide a significant boost to Merit Medical's business. This month, Merit Medical announced that the Wrapsody Cell-Impermeable Endoprosthesis received regulatory approval from Health Canada. With this approval, the company intends to begin immediate commercialization of the device throughout Canada. Last month, MMSI reported its first-quarter 2025 results, wherein its Cardiovascular segment and CI product category recorded robust growth both on a reported basis and at constant exchange rate year over year. Per management, the CI category represented the largest driver of the Cardiovascular segment's growth in the period, which was driven primarily by contributions from the acquisition of Cook Medical Products. Shares of the company have rallied 18.4% in the past year compared with the industry's 0.3% growth and the S&P 500's rise of 11.5%. Image Source: Zacks Investment Research Currently, Merit Medical carries a Zacks Rank #4 (Sell). Some better-ranked stocks in the broader medical space are Hims & Hers Health, Inc. HIMS, Cencora, Inc. COR and Integer Holdings Corporation ITGR. Hims & Hers, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 36.5%. HIMS' earnings surpassed estimates in two of the trailing four quarters, missed once and broke even in the other, the average surprise being 19.6%. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Hims & Hers' shares have surged 284.1% compared with the industry's 19.6% growth in the past year. Cencora, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 12.8%. COR's earnings surpassed estimates in each of the trailing four quarters, the average surprise being 6%. Cencora has rallied 34.7% against the industry's 18.7% decline in the past year. Integer Holdings, sporting a Zacks Rank of 1 at present, has an estimated long-term growth rate of 18.4%. ITGR's earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 2.8%. Integer Holdings' shares have declined 1.3% compared with the industry's 13.2% plunge in the past year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Hims & Hers Health, Inc. (HIMS) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
12-05-2025
- Business
- Yahoo
MMSI Q1 Earnings Call: Tariff Headwinds Offset by Organic Growth and Strong Product Performance
Medical device company Merit Medical Systems (NASDAQ:MMSI) reported revenue ahead of Wall Street's expectations in Q1 CY2025, with sales up 9.8% year on year to $355.4 million. The company expects the full year's revenue to be around $1.48 billion, close to analysts' estimates. Its non-GAAP profit of $0.86 per share was 14.8% above analysts' consensus estimates. Is now the time to buy MMSI? Find out in our full research report (it's free). Revenue: $355.4 million vs analyst estimates of $352.7 million (9.8% year-on-year growth, 0.8% beat) Adjusted EPS: $0.86 vs analyst estimates of $0.75 (14.8% beat) Adjusted EBITDA: $83.83 million vs analyst estimates of $71.58 million (23.6% margin, 17.1% beat) The company reconfirmed its revenue guidance for the full year of $1.48 billion at the midpoint Management lowered its full-year Adjusted EPS guidance to $3.36 at the midpoint, a 7.8% decrease Operating Margin: 11.5%, in line with the same quarter last year Free Cash Flow Margin: 5.5%, down from 7.6% in the same quarter last year Organic Revenue rose 6% year on year (7% in the same quarter last year) Market Capitalization: $5.66 billion Merit Medical Systems delivered revenue and non-GAAP earnings per share ahead of Wall Street expectations in Q1, driven primarily by solid organic growth in the Cardiovascular segment and robust OEM product demand in the U.S. Management credited this performance to effective execution of operational initiatives and successful integration of recent acquisitions, with CEO Fred Lampropoulos highlighting the team's continued focus on efficiency and product mix improvements. Looking forward, management addressed the impact of newly implemented tariffs and trade policies, which prompted a reduction in full-year non-GAAP EPS guidance despite reconfirmed revenue targets. CFO Raul Parra stated that the company is deploying mitigation strategies—including supply chain adjustments and cost initiatives—but cautioned that most benefits from these efforts will not be realized until next year. The leadership team emphasized its commitment to long-term growth, with ongoing investments in R&D and operational efficiency programs aimed at offsetting external headwinds. Management's remarks emphasized the interplay between operational execution, product mix, and external trade-related challenges in shaping Q1 performance and the outlook. Cardiovascular segment momentum: The Cardiovascular segment delivered above-expected growth, boosted by contributions from acquired product lines and ongoing demand for cardiac intervention devices. Management noted that integration efforts for these acquisitions remained on track and are expected to support future sales. OEM product surge: U.S. demand for OEM (original equipment manufacturer) products significantly exceeded expectations, driven by new account wins and established customer relationships. Management attributed this growth to the company's longstanding reputation for quality and reliability in the OEM segment. Endoscopy segment integration: The Endoscopy business saw substantial growth, with management citing smoother-than-anticipated integration of acquired assets and an expectation for stronger performance in the second half of the year as sales teams fully ramp up. Gross margin improvements: Gross margin benefited from favorable product and geographic revenue mix, as well as operational efficiencies and pricing initiatives. Management described these improvements as the result of multi-year efforts under the company's continued growth initiatives (CGI) program. Tariff and trade policy impacts: The company identified newly implemented tariffs—particularly those affecting China—as a major headwind for profitability. While mitigation strategies are underway, management acknowledged that much of the incremental cost will be realized in 2025, with full mitigation benefits unlikely until 2026. Management's outlook for the remainder of the year is shaped by ongoing product demand, integration of acquisitions, and the need to address tariff-related cost increases. Tariff mitigation strategies: The company is prioritizing supply chain adjustments, such as shifting manufacturing and redirecting shipments, to offset increased costs from new tariffs. Management believes up to 45% of the annualized tariff impact can be mitigated, but most benefits are projected for 2026. Product and market expansion: Continued investment in R&D and the introduction of new products—especially in Cardiovascular and Endoscopy—are expected to support organic growth and competitive positioning. Operational efficiency focus: The ongoing CGI program, which targets cost reductions and productivity improvements, remains central to efforts to preserve margins and support free cash flow amid external headwinds. Jason Bednar (Piper Sandler): Asked for more detail on the pace and effectiveness of tariff mitigation efforts. Management outlined ongoing supply chain adjustments and clarified that most cost offset will be seen in 2026. Simran (Wells Fargo, for Larry Biegelsen): Inquired about the causes of softer demand in China and whether geopolitical tensions could worsen the outlook. Management attributed recent softness mainly to macroeconomic factors and maintained its full-year outlook for China. Steve Lichtman (Oppenheimer): Questioned what drove the step-up in gross margin performance. Management credited operational efficiency, product mix, and integration of acquisitions as key contributors, emphasizing that these initiatives are ongoing. Craig Bijou (Bank of America Securities): Asked about variability and drivers behind strong OEM growth, and whether inventory build or new accounts were responsible. Management pointed to new account wins and sustained demand, downplaying inventory effects. Jim Sidoti (Sidoti & Company): Sought clarification on M&A activity and integration progress of recent deals. Leadership reported that integration is progressing as planned and that the company continues to evaluate acquisition opportunities in a dynamic market. Looking ahead, the StockStory team will be monitoring (1) the pace and effectiveness of tariff mitigation strategies and their impact on operating margins, (2) the continued integration and sales ramp-up of recently acquired product lines in Cardiovascular and Endoscopy, and (3) stabilization or improvement in China market demand. Additionally, progress on reimbursement decisions for WRAPSODY CIE and execution of cost reduction initiatives will be important signposts for tracking the company's ability to navigate external challenges. Merit Medical Systems currently trades at a forward P/E ratio of 25.6×. Should you load up, cash out, or stay put? The answer lies in our free research report. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Star
09-05-2025
- The Star
Cargo vessel detained in Selangor waters
PORT KLANG: The Malaysian Maritime Enforcement Agency (MMEA) detained a cargo vessel, which had raised suspicion of being involved in undesirable activities in Malaysian waters. Selangor MMEA director Maritime Capt Abdul Muhaimin Muhammad Salleh said the ship's AIS (Automatic Identification System) had transmitted two different names with the same MMSI (Maritime Mobile Service Identity) number. 'Investigations are being conducted under the Merchant Shipping Ordinance (MSO) 1952," he added in a statement on Friday (May 9). According to Abdul Muhaimin, the state MMEA had detained the vessel on Friday at about 0.23 nautical miles east of Pulau Che Mat Zin during a routine patrol under the agency's OP EHSAN and OP TIRIS 3.0 in Selangor waters. 'The ship, which was heading to SouthPort, had appeared on the radar with two different names and hence was detained for inspection. 'Initial inspection found that the ship was operated by a 63-year-old skipper with two crew members aged 26 and 35. 'All of them are Malaysian citizens," said Abdul Muhaimin. The vessel was taken to the Marine Police jetty at Pulau Indah near here to be handed over to the Selangor MMEA investigating officer for further probe. Abdul Muhaimin said the MMEA would continue to strengthen monitoring and law enforcement in Malaysian waters, especially Selangor waters. He urged members of the public to channel any complaints, information, or emergency incidents at sea by contacting the emergency line 999 or the Selangor State Maritime Operations Centre (013-6606652) / Malaysian Maritime Operations Centre (03-89957820) for immediate response.
Yahoo
29-04-2025
- Business
- Yahoo
Strong Quarterly Results Lifted Merit Medical Systems (MMSI) in Q1
Conestoga Capital Advisors, an asset management company, released its first-quarter 2025 investor letter. A copy of the letter can be downloaded here. Equity markets started the year with a rally due to optimism about a strong economy and expectations of moderating inflation and lower interest rates. However, concerns over slowing earnings from major Technology companies, geopolitical tensions, and an upcoming announcement on tariffs led to a sharp decline in equities by the end of the first quarter. Investors sought safety, driving U.S. Treasury yields down. The Conestoga Small Cap Composite returned -11.35% (net) in the first quarter compared to the Russell 2000 Growth Index's -11.12% return. The Conestoga SMid Cap Composite returned -5.73% compared to the Russell 2500 Growth Index's -10.80% return. The Conestoga Micro-Cap Composite returned -8.24% vs the Russell Microcap Growth Index's return of -17.75%. Finally, the Conestoga Mid Cap Composite returned 0.96% (net), compared to the Russell Midcap Growth Index's -7.12% return. Please check the top 5 holdings of the fund for a better understanding of their best picks for 2025. In its first-quarter 2025 investor letter, Conestoga Capital Advisors highlighted stocks such as Merit Medical Systems, Inc. (NASDAQ:MMSI). Merit Medical Systems, Inc. (NASDAQ:MMSI) designs, develops, manufactures, and markets single-use medical products. The one-month return of Merit Medical Systems, Inc. (NASDAQ:MMSI) was -9.72%, and its shares gained 27.10% of their value over the last 52 weeks. On April 28, 2025, Merit Medical Systems, Inc. (NASDAQ:MMSI) stock closed at $95.44 per share with a market capitalization of $5.64 billion. Conestoga Capital Advisors stated the following regarding Merit Medical Systems, Inc. (NASDAQ:MMSI) in its Q1 2025 investor letter: "Merit Medical Systems, Inc. (NASDAQ:MMSI) delivered strong quarterly results, exceeding expectations for both sales and earnings growth. The company's vertically integrated business model continued to provide manufacturing stability and competitive advantage in both cardiovascular and endoscopy segments. Its OEM segment continued to resonate with customers' persistent supply chain challenges in the industry. Gross and operating margins showed consistent improvement, positioning MMSI well to achieve its long term targets. We believe recent product launches along with strategic acquisitions enhance MMSI's position in higher-growth therapeutic markets." A surgeon using endoscopy products to perform a medical procedure. Merit Medical Systems, Inc. (NASDAQ:MMSI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios held Merit Medical Systems, Inc. (NASDAQ:MMSI) at the end of the fourth quarter, compared to 32 in the third quarter. In the first quarter of 2025, Merit Medical Systems, Inc. (NASDAQ:MMSI) reported $355.4 million in revenues, up 9.8% year-over-year on a GAAP basis and up 10.9% year-over-year on a constant currency basis. While we acknowledge the potential of Merit Medical Systems, Inc. (NASDAQ:MMSI) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. In another article, we covered Merit Medical Systems, Inc. (NASDAQ:MMSI) and shared Riverwater Partners Small Cap Core Strategy's views on the company. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
24-04-2025
- Business
- Yahoo
Merit Medical: Q1 Earnings Snapshot
SOUTH JORDAN, Utah (AP) — SOUTH JORDAN, Utah (AP) — Merit Medical Systems Inc. (MMSI) on Thursday reported first-quarter earnings of $30.1 million. The South Jordan, Utah-based company said it had net income of 49 cents per share. Earnings, adjusted for amortization costs and stock option expense, came to 86 cents per share. The results beat Wall Street expectations. The average estimate of seven analysts surveyed by Zacks Investment Research was for earnings of 75 cents per share. The maker of disposable medical devices posted revenue of $355.4 million in the period, also topping Street forecasts. Six analysts surveyed by Zacks expected $352.3 million. Merit Medical expects full-year earnings in the range of $3.29 to $3.42 per share, with revenue in the range of $1.47 billion to $1.49 billion. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on MMSI at Sign in to access your portfolio
